Mixed sector performance trails stock market trading

Today, the domestic equities market resumed trading on a bearish note due to price depreciation in FLOURMILL (-2.3%), WEMABANK (-3.5%), and LINKASSURE (-7.8%) as the All-Share index fell by 0.6% to 38,567.26 points. Consequently, YTD loss worsened to -4.2% while market capitalisation fell by ₦126.9bn to ₦20.1tn. Trading activity was mixed as volume traded rose by 16.3% to 194.9m units while value traded fell by 39.0% to ₦1.0bn. The most traded stocks by volume were WEMABANK (25.8m units), ELLAHLAKES (25.0m units), and FIDELITY (16.1m units) while ELLAHLAKES (₦106.3m), ZENITH (₦104.4m), and MTNN (₦94.7m) led by value.

Performance across sectors under our coverage was mixed as 3 indices gained while 3 lost. The Oil & Gas index led the gainers, up 1.0% driven by buying interest in OANDO (+3.1%) and CONOIL (+9.8%). Similarly, the Consumer Goods and AFR-ICT indices rose slightly by 3bps apiece, due to price appreciation in DANGSUGAR (+1.7%), VITAFOAM (+2.7%), and MTNN (+0.1%). Conversely, the Industrial Goods index was the biggest loser, down 1.8% on the back of sell-off in DANGCEM (-3.3%). Similarly, the Insurance and Banking indices declined by 0.6% and 5bps respectively, as a result of profit taking in LINKASSURE (-7.8%), MBENEFIT (-2.7%), WEMABANK (-3.5%), and STERLNBANK (-0.7%). 

Investors sentiment, as measured by market breadth (advance/decline ratio), weakened to 0.9x from 1.2x recorded in the last trading session as 17 stocks gained while 18 stocks lost. CONOIL (+9.8%), NNFM (+9.8%), and ACADEMY (+7.9%) led gainers while UPL (-9.8%), LINKASSURE (-7.8%), and NPFMCRFBK (-4.3%) led losers. In the next trading session, we expect that the bearish sentiment would be sustained, given the absence of any positive driver.

Market Statistics for Monday, 9th August 2021